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6 month contract with 3 month break clause

My colleague has recently accepted an offer on his house but the condition is that the sale completes before 1st April. He is happy to go into rented accommodation to allow this to happen but would also like to buy a new place as soon as possible.

He has spoken with a letting agent and the agents mother has a property that she is happy to rent out for 6 months but with a 3 month break clause so if he was to find somewhere to buy quickly he wouldn't be tied into the 6 months. Only he could exercise the 3 month break clause, not the landlord. This wouldn't be written in the main contract but as a separate document.

Are there any pitfalls to having such a contract/agreement? Is there anything he should look out for? I was under the impression that a 6 month contract was the minimum contract term regardless of break clauses.

TIA

Comments

  • agrinnall
    agrinnall Posts: 23,344 Forumite
    10,000 Posts Combo Breaker
    No, a contract can be for any length, but a S21 to regain possession cannot be issued for a date any earlier than 6 months after the tenancy commences. So if the LL is happy to have a 3 month break clause in the TA that's fine.
  • AnotherJoe
    AnotherJoe Posts: 19,622 Forumite
    10,000 Posts Fifth Anniversary Name Dropper Photogenic
    I think the issue normally with 6 months being a minimum is that due to the legal procedure needed to get rid of a tenant it almost becomes an effective minimum anyway. But in this case it would seem to be something that would suit both parties, your colleague can move out immediately and the EAs mother gets someone in quickly who is likely to be there no more than 6 months which seems to suit her.

    is it actually feasible though for the sale to complete in the next 2+ weeks?
  • Bubblecat
    Bubblecat Posts: 51 Forumite
    Thank you both for your replies.

    It's good to know that it should all be ok then. I understand that the LL wants to move into the property in around 8 months time so is only after a short-term let.
    AnotherJoe wrote: »
    is it actually feasible though for the sale to complete in the next 2+ weeks?

    We'll see! I think it is pushing it a bit but never say never!
  • G_M
    G_M Posts: 51,977 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    A 6 month contract with 3 month break clause is perfectly legal. Though
    This wouldn't be written in the main contract but as a separate document.
    seems strange. I have no idea why. Make sure the 'separate document' refers clearly to the tenancy agreement and is signed by all parties as it needs to form part of the same contract.

    An alternative (and better for you) is a Contractual Periodic Tenancy. This has NO fixed term but simply runs month by month until either
    * you serve notice, or
    * the LL serves a S21 (though this can only take effect after 6 months as per the comments above)
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